UK Mortgages Ltd Net Asset Value(s)

 
TIDMUKML 
 
UK MORTGAGES LIMITED 
 (a closed-ended investment company incorporated in Guernsey with registration 
                                 number 60440) 
                             Final Net Asset Value 
                           LEI 549300388LT7VTHCIT59 
 
         FUND NAME                  NAV                ISIN             NAV DATE 
 
   UK Mortgages Limited           £0.8041          GG00BXDZMK63     31 December 2021 
 
UKML RNS: Commentary accompanying UK Mortgages Limited December 2021 NAV 
 
The UKML NAV per share was calculated for December 2021 month end at 80.41 
pence per share, an increase of 1.47 pence per share. 
 
The December NAV included the semi-annual recalculation of the Expected Credit 
Loss provision, under IFRS 9 accounting standards, which resulted in a 
significant reduction to the provision, uplifting the NAV by 0.49 pence per 
share. This was primarily due to a £4m improvement in arrears in the CHL 
portfolio, along with a decrease in the size of the TML portfolios due to 
mortgage repayments and thus a corresponding fall in provisions and some minor 
adjustments to our economic forecasts and stress weightings to reflect the 
improvement in the economic outlook and increased hopes of an impending end to 
the Covid-19 pandemic. 
 
Further to this, the semi-annual recalibration of the hedge effectiveness also 
resulted in an increase of 0.35 pence per share to the NAV, as the swaps held 
against the portfolios of mortgage loans were deemed to be more effective than 
previously, partially due to the mortgage repayments in the TML portfolio, with 
a number of hedges having thereby expired, and secondly due to some refinements 
made to the hedging profiles of the portfolios during the second half of 2021. 
 
Further to these semi-annual adjustments, the ongoing positive running income 
being generated by the Company's underlying investments continued to increase, 
in the most part due to ongoing growth in the second Keystone portfolio 
(Cornhill No.7) and contributed the net 0.63 pence per share remainder (an 
increase of 0.04 pence per share from the previous month) of the positive NAV 
performance for the month. 
 
The Company's investments continue to perform in line with expectations, and 
further details will be available in the Company's next factsheet. 
 
Enquiries: 
Northern Trust International Fund Administration Services (Guernsey) Limited 
Andrew Bonham               44 (0)1481 745302 
 
Date: 17 February 2022 
 
 
 
END 
 
 

(END) Dow Jones Newswires

February 17, 2022 11:21 ET (16:21 GMT)